Due to the large number of quality dividend options on it, I think the Australian share market is a great place to earn income in this low interest rate environment.
Three top dividend shares that I would buy today are listed below. Here's why I like them:
Accent Group Ltd (ASX: AX1)
Accent is the regional leader in the retail and distribution of performance and lifestyle footwear. It has over 420 stores across a number of different retail banners and exclusive distribution rights for 10 popular international brands in the ANZ region. Accent has been a strong performer in FY 2019, growing its net profit after tax by 27.3% to $32.2 million in the first half. The good news is that management expects further growth in the second half, setting up the company for a strong full year result. I expect this to allow the Accent board to increase its dividend again, which currently provides investors with a trailing fully franked 5.5% yield.
National Storage REIT (ASX: NSR)
National Storage is one of the largest self-storage owner-operators in the ANZ region with a total of 146 storage centres. Due to its focus on driving increased income from multiple revenue streams including operational performance, centre acquisitions, new developments, and expansions, the REIT posted a 17.4% increase in underlying earnings to $26.3 million in the first half of FY 2019. I expect more of the same in the second half and beyond, potentially making it a great long-term investment. This year the National Storage board plans to pay a full year distribution of up to 9.9 cents per unit, which equates to a yield of 5.5%.
Wesfarmers Ltd (ASX: WES)
On Thursday this conglomerate revealed its plan to acquire lithium miner Kidman Resources Ltd (ASX: KDR). Wesfarmers' managing director, Rob Scott, believes the acquisition will provide an attractive investment in a project which is set to benefit from the global uptake of electric vehicles. He added that the "acquisition is consistent with our objective of deploying capital in areas where we can deliver attractive returns to our shareholders by leveraging our existing strengths and capabilities." I think this could prove to be a good move by management and expect it to boost its profits, and ultimately its dividend, in the medium term. At present I estimate that its shares will provide a dividend yield of approximately 4.7% over the next 12 months.
